China bans pricing in offshore NDF market

The State Administration of Foreign Exchange (SAFE) issued orders on Thursday (October 26) suspending onshore banks from transacting in offshore USD/CNY NDFs. The move stops a common practice among onshore banks that had been matching onshore forward US dollar demand by buying US dollars through NDFs.

"The attraction of this was that it was not booked as a net-open position and could allow for onshore-offshore arbitrage," said Claudio Piron, Asia FX strategist at JP Morgan in Singapore

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact customer services -, or view our subscription options here:

You are currently unable to copy this content. Please contact to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to FX Markets? View our subscription options

You need to sign in to use this feature. If you don’t have a FX Markets account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: